RattanIndia Power turns profitable in Q2 FY27 at ₹38.4 Cr, but eases from Q1's ₹45.9 Cr

RattanIndia Power's consolidated Q2 FY27 (quarter ended 30 September 2026) PAT came in at ₹38.37 Cr (EPS ₹0.07, not annualised), reversing the ₹31.55 Cr loss of Q2 FY26 — the primary, YoY-anchored story is a swing from loss to profit, not a raw growth number. Revenue from operations rose 7.5% YoY to ₹702.85 Cr from ₹653.72 Cr. Sequentially, however, the quarter cooled: revenue fell 12.0% from Q1 FY27's ₹798.55 Cr and PAT declined 16.3% from ₹45.85 Cr, so the YoY turnaround should not be read as building momentum quarter-on-quarter — for a single-segment, PPA-driven power generator this kind of sequential swing is typical of Change-in-Law and regulatory revenue recognition rather than demand seasonality. The margin bridge is the real driver of the YoY turnaround: operating profit margin (revenue less fuel, employee and other opex, divided by revenue) expanded to roughly 13.96% from 7.91% a year ago — fuel, power and water cost fell to 77.5% of revenue from 82.4% — while net profit margin (on total income) flipped to 4.87% from -4.24%. Both margins softened versus Q1 FY27 (OPM 15.65%, NPM 5.29%), consistent with the lower revenue base this quarter; finance costs (₹82.88 Cr) and depreciation (₹61.74 Cr) stayed roughly flat QoQ, so the margin give-back traces mostly to the softer top line rather than a cost spike. No current or deferred tax was recognised in either period, consistent with the company's accumulated losses. Neither our records nor a web search turned up prior management guidance or sell-side consensus estimates for this quarter — coverage on RattanIndia Power is thin (one analyst rating found, insufficient estimates for a reliable street number) — so vsGuidance and vsStreet are both unknown rather than inferred. No separate management press release accompanied this filing beyond the standard BSE/NSE covering letter. Two disclosures outside the P&L are worth flagging: an arbitral tribunal reserved its award on 1 February 2026 and pronounced on 1 October 2026 a sum of ~₹171 Cr plus interest in favour of BHEL against RPL in the long-running Amravati boiler-turbine-generator supply dispute (publicly flagged around 3 October); management says it has strong grounds to appeal and has booked no provision. Separately, T R Chadha & Co LLP took over as statutory auditor this quarter (appointed at the 19th AGM on 24 September) and carried forward the standing Emphasis of Matter on the unredeemed ₹250 Cr Redeemable Preference Shares, now the subject of an NCLAT appeal. Standalone and consolidated tell closely aligned but not identical stories: standalone PAT of ₹36.90 Cr is about 4% below the consolidated ₹38.37 Cr, driven mainly by a smaller other-income line (₹94.13 Cr standalone vs ₹84.88 Cr consolidated after intercompany adjustments) rather than any operating divergence, since the lone subsidiary, Poena Power Development, is financially immaterial (₹216.45 Cr total assets, nil revenue, a ₹0.004 Cr net loss this quarter per the auditor's note).